Egypt seeks $3.2bn IMF help

Egypt’s government is in discussions with the International Monetary Fund about the possibility of obtaining a $3.2bn loan package to help support its economic reform.
An IMF delegation arrived in Cairo on Monday to discuss the loan package which is to assist Egypt in bridging the gap in its state budget for the fiscal year 2011/2012. Follow-up discussions are due to be continued by the end of the month.

Egypt’s deficit pushed wider last year following almost a year of economic and political turmoil. The country’s previous army-backed authorities had earlier turned down $3bn in IMF assistance, but since then the situation has worsened and the currency has experienced increasing pressure.